NSW housing crisis: 11,000 homes rejected by NSW Planning in 2023-24 financial year

Shocking new data has uncovered that 11,000 homes were rejected by NSW Planning in refused masterplanned developments across NSW in the past finanical year.

Sydney’s devastating housing crisis hasn’t stopped the NSW Government from rejecting plans for more than 11,000 homes in the past year – despite NSW Premier Chris Minns conceding the state wouldn’t meet ambitious housing targets of 75,000 new homes.

Twenty multimillion-dollar planning proposals, forecasting the construction of more than 5200 homes to the tune of $1.485 billion, were refused by NSW Planning delegates in the 2023-24 financial year, according to planning portal determinations.

Meanwhile, developers making last-ditched efforts to bypass council rejections on plans for more than 6000 homes from 18 masterplanned, but contentious developments were refused by Planning Department representatives in the 12 months to June 30.

The projects were submitted to the NSW Planning Department for review after councils across the state failed to support them, with developers arguing strategic merit behind the applications.

NSW Premier Chris Minns. Picture: NewsWire

Master Builders Association of NSW boss Brian Seidler said the state had witnessed an 18.2 per cent drop in building approvals in the year to May, while “only 43,022 new homes were approved”.

“Builders are ready to get on with the job but without changes to speeding up the time it takes to build or reducing the cost of construction we will continue to be hamstrung,’ he said.

“A strong building and construction industry equals a strong economy, without the investment in new projects, the economy and our battle against inflation will continue to suffer.”

In January, Mr Minns revealed to The Daily Telegraph the state would fall short of meeting the national cabinet’s 75,000 home target.

Planning Minister Paul Scully. Picture: NewsWire

Urban Taskforce chief executive Tom Forrest said 7500 homes would need to be built every month, for the next 60 months, “to go anywhere near to meeting the 377,000 new homes required in the state over the next five years”.

Australian Bureau of Statistics data confirmed a massive 547,300 migrants moved to Australia last year, with 184,619 choosing NSW to call home.

Planning Minister Paul Scully told The Daily Telegraph there were “more than 70,000 new dwellings under construction in NSW”, but planning panels and the decisions they make are “not subject to my direction”.

“A rezoning or planning proposal might not be progressed for a number of reasons such as flood and bushfire prone land, lack of supporting amenities and infrastructure or existing biodiversity impacts,” he said.

“Recently, the NSW Government set housing targets for 43 councils and one target for Regional NSW.”

The shock housing refusal figures come as ambitious plans for close to 500 homes, as part of a $250 million development in Sydney’s west were rejected by the Sydney Western City Planning Panel on Friday.

Caddens Corner development.

The proposal would have seen 17 multistorey towers built on the parking lot of the Caddens Shopping Centre, near the Western Sydney University Kingswood Campus, in an already sprawling residential estate.

In August last year, a NSW Planning delegate put the nail in the coffin of a vision by Canterbury Leagues Club to transform a vacant lot at 84 Memorial Ave, Liverpool into 1150 homes as part of a high-rise residential and community hub.

The plans would have also seen the development of a 150-room hotel, 44 serviced apartments and a “commercial boulevard” alongside an expansive registered clubhouse.

The Ramsgate Village development.

Meanwhile, a consortium involving Woolworths had to go back to the drawing board to once again revising plans to revitalise the heart of Ramsgate with a new shopping centre, supermarket precinct and high rise residential community after multiple refusals for 176 homes.

This will be the developer’s third attempt to see a major redevelopment of the site at Rocky Point Rd, following rejections in 2020 and 2022.

REJECTED PLANNING PROPOSALS

Caddens Estate – 469 homes – $250,000,000

17 Fishburn Cres, Castle Hill 148 homes – $62,648,550

Stanley St, Kogarah – 102 homes – $32,675,000

Dido St, Kiama 67 homes – $31,886,790

O’Connell St, Kingswood 564 homes – $257,725,718

The Entrance Rd, The Entrance 1414 homes – $100,291,875

Pacific Highway Crows Nest 61 homes – $50,030,000

138 Maroubra Rd, Maroubra 57 homes – $40,300,000

Windsor Rd, Vineyard – 177 homes – $41,700,601

52-54 Miles St, Yamba 277 homes – $48,458,741

Burns Point Ferry Rd, West Ballina 148 homes – $67,670,000

184-194 Guntawong Rd, Rouse Hill 146 homes – $33,010,872

Vivien Place, Castle Hill 220 homes – $72,370,137

Princes Highway, Corrimal – disability housing – $7,860,000

Willarong Rd, Caringbah – 686 homes – $129,511,811

Cope Street, Lane Cove – 52 homes – $46,591,430

Thallon St, Carlingford – 91 homes – $39,270,702

Shirley St, Carlingford 87 homes – $41,719,200

Hughes Ave, Middleton Ave, Castle Hill 350 homes – $71,225,754

Enid St, Tweed Heads 110 homes – $60,450,122